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Verizon Can't Do Math
Blogger George Vaccaro recently had a problem with his Verizon based on an unfortunate miscommunication of currency. The crux of the matter was that he was quoted .002 cents per kilobyte for data during a trip to Canada but was charged .002 dollars. Normally this would have been an easy fix, however several humorous calls later the Verizon reps still were unable to discern between the difference between the two rates. You really have to hear it to believe it. Kudos George, you have the patience of a saint.
That's because "cent" literally means "one-hundred". As in "per cent" (1% of a unit == 1/100th of that unit), or "centimetre" (1/100th of a metre). Thus, "cent" is already a fractional unit -- it's very name connotes that it is a 1/100th fraction of a larger unit (in this case, a dollar).
20 one-hundredths of a dollar (or 20 "cents") is thus correctly $0.20. There is no error is usage here -- the unit itself denotes the fractional part when written as a whole number of "cents".
It's no different than the fact that when we talk about a 2 000 000 000 Hz processor, we usually call it a "2GHz processor". The zeros didn't just disappear -- "G" represents "Giga", which is the prefix representing the large value of 10 to the 9th power.
As such, the error in this case is purely with the fact that the Verizon reps the gentleman spoke to have no idea what they're talking about, and get confused by a decimal point. They probably don't know how to cancel out the units in a multiplication: 0.002 cents/KB * 35893KB causes the KB on both sides to cancel out, leaving us with 0.002 * 35893 cents (== 71.78 cents). There is nothing to be confused with here -- you can't just multiply two numbers and then make up what unit you want it to represent because it's some unit you're comfortable with. I can't say that I'm charging someone 0.002 cents per KB for 35893KB, and then charge them 71.78 rutabegas. Or 71.78 emus. Or 71.78 Libraries of Congress.
Really, there is no excuse for this. Verizon should hire a grade 8 math teacher, and give their customer service staff a "how to use decimals and cancel units" math training day. I'll even volunteer to do it (although I'm over qualified). I'll even offer them a huge deal -- I'll just charge them 0.002 Gigacents an hour for my services.
Yaz.
having worked in the industry, I can tell you, it's not that they realized they were wrong and are trying to make amends. On the contrary, they still believe they are 100% in the right, and are only offering a credit because they are afraid he will cancel his service. I can guarantee you there is a catch. Probably a 2 yr contract renewal that he is automatically approving if he takes the offer. It's called a loyalty credit or retention credit, and they are giving the credit because he is extending his contract, not because they overcharged him.
The problem with them admitting defeat and actually charging the rate they've been speaking is that it makes them liable to charge the quoted rate to everyone else.
Imagine if they grabbed Johnny B., that guy over in tech support that has a math degree. He'd get on the phone and say, "Yeah, that's right, Verizon is quoting the wrong price, you should pay 72 cents."
Three days later, thousands of Verizon customers who were quoted the same rate demand equal compensation. Then Johnny B. has to find another low-wage job that has nothing to do with his major.
These reps could have secretly realized what they were saying, just as they were passing the call to their boss. No one wants to make the million dollar decisions, so playing dumb is better than playing unemployed.
even if they did it on purpose I think the customer is a jerk: .002 cents is 500 kbytes for 1 cent, 1 megabyte for 2 cents, 5 megabytes for 10 cents. That's outrageously cheap and obviously not correct.
Really? In the U.S. it's pretty common to have unlimited Internet access for $40/month. Now, of course there are different definitions of "unlimited", but for the sake of argument let's say that I download for 1 hour every night - that's pretty reasonable, right? With a 256 kbit Internet connection (most people would have even faster than that) I could download a little over 100 MB in an hour. In a month, that'd be 3 GB. $40/month divided by 3 GB is 0.0013 cents per kilobyte. That's 1/1000 of a cent (not of a dollar), or less than what the guy in the story was quoted.
Or, think of it this way: the guy apparently downloaded 35893 kilobytes in a month. That's only ~36 megabytes - hardly anything! That's like downloading one album from the iTunes Music Store. And he was charged $72? No wonder he was mad.
5 megabytes for 10 cents is only cheap for a cell phone. For a shared home broadband connection it's pretty average.